Alfa Romeo's Return Is at Mercy of a Chrysler Deal

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Oct. 4 (Bloomberg) -- Bloomberg’s Matt Miller reports on Fiat CEO Sergio Marchionne’s push to bring back Alfa Romeo. He speaks on Bloomberg Television's "Street Smart." (Source: Bloomberg)

Remember the alfa romeo that dustin hoffman was driving across the bay bridge in the graduate?

Sergio markie on the -- marc hioni wants to bring it back.

Here is what needs to happen.

This is the alfa romeo 4c, a rearwheel drive sports car made for people who really like to drive.

One audio reviewers says it has better curves them kate upton.

It is lighter and faster than a porsche.

Fiat ceo sergio marchionne wants to sell you one for $50,000, which would make it a huge hit in the u.s.. the problem is, he needs full control of chrysler first.

Chrysler has the cash flow and manufacturing that fiat needs to mass produce alpha -- alfas and make the brand what it once was.

Remember the spider driven by -- spyder driven by dustin hoffman in "the graduate" in 1967? now, porsche is the most profitable carmaker in the world and alfa is just a brand.

Fiat took control of chrysler after bankruptcy, but a union trust also holds over 40% of chrysler.

And it wants $40 billion to give that up, much more than sergio is willing to pay.

If they cannot agree on a price, the only way to value chrysler would be an ipo, letting the market decide.

But it puts march yanni in a very awkward position.

He needs to get the maximum amount possible for his shareholders.

But as ceo of fiat, he needs to pay as little as he can.

Do you see how awkward that is?

And if he does not get all the keys to chrysler -- you are really pushing us toward sergio's side.

It is a hot car.

It sounds like they are just arguing over price.

$4.5 billion versus $6 billion?

It does sound like that.

Bob nardelli was on bloomberg surveillance, and he says he thinks they might have an ipo.

The former chairman of chrysler.

Most everyone else says it will never come to an ipo and they will haggle on price and agree in the middle.

Coming up, we will talk about the dollar.

This text has been automatically generated. It may not be 100% accurate.


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